PRESENTATION

On

Plant
Location
Group members:

Muhammad Rizwan
Riaz Khan
Kashif Arshad
Arslan Ahmad
Muhammad Waqar
Hamza Sajid Bin Abdustar
Abdullah Haroon
 PLANT
LOCATION
WHAT IS PLANT
LOCATION?

Plant location refers to the

choice of region and the
selection of a particular site for
setting up a business or factory.
WHAT IS AN IDEAL
LOCATION?
An ideal location for plant is a
place where inhabitants are
interested in its success, easily
available of raw material, the
product can be sold profitably and
production cost is minimum
INDUSTRIAL
DEVELOPMENT IN
PAKISTAN :
It can be divide as follow:
1. Agro base industries:
Textile, sugar, edible oil and food industries.
2. Industries which produce Agriculture
inputs:
fertilizer, pesticide, tractors, farm machinery.
3. Consumer goods industries
It produce garments, lather goods, plastic good
and glassware etc.

4. Engineering Goods industries:

This producedurable goods, bicycles,
pumps and auto parts.
5. MATERIAL INDUSTRIES

Metals, alloys , cement , polymers

and chemicals are required as
inputs to most of the industries and
for the construction industries.
FACTORS AFFECTING
INDUSTRIAL GROWTH
1. Human Resources: Education and
training improves the capability of work
force, researchers, designers an
managers. Growing complexity of
industrial technology and equipment
requires high lever of education and skills.
 2. CAPITAL RESOURCES:

Capital is required for setting up new

industries and to modernize the old ones by
old equipment with new one.
3. Material Resources:
Steel is the most significant raw material for industrial for
industry development. Besides steel, metal alloys, chemicals,
Cement, glass, Ceramics, Polymers and semi Conductor material.

4. Energy
Fuel and power is a very significant input resources for industry.
In Pakistan the annual consumption of energy is about 400 kwh
per capita and 0.12 TCE fuels is one tenth of world average and
one fourth of Asian average.
5. Political Stability:
Changes in policies associated with political
changes create an atmosphere f uncertainty.
Investors re encouraged with stable
economics policies. Change of government
should not affect the incentives and
concessions available to investors.
6. ROADS AND RAIL LINKS
WITH SEAPORTS:
Railways provide the most energy efficient and
economical means for the transport of raw
material and finished goods from and to the
seaport and even inland transport of goods. Road
become more economical for shorter distances and
lower transport tonnage requirement. A balanced
development of rail and road facilities is
important for future industrialization.
Factors affecting the
Plant Location:
1. Availability of Raw materials:

The Availability and price of suitable raw

materials will Often determine the site Location.
Plants Producing bulk chemicals are best located
close to the source Of the major Raw Material.
2. AVAILABILITY OF MAN
POWER AND SKILLS:
Skilled manpower is an important
requirement of industry. Sports goods and
surgical instrument industries are
concentrated in Sialkot because the
relevant skills are readily available.
3. Availability Of Spares And
Services For Plant Maintenance:

The readily available plant maintenance

skills and service personnel can help to
reduce the losses due to non working
time of plant in cases of breakdown
and failure.
4. Nearness to Potential Market :

For materials that are produced in bulk

quantities: such as cement, mineral
acids and fertilizers, the plant should
be located close to the primary market.
5. Transportation facilities:
The transport of materials and products to and
from the plant will be an overriding
consideration in site selection. If practicable, a
site should be selected that is close to at least
two major forms of transport i.e., road, rail,
waterway (canal or river), or a sea port.
6. Availability of Water, Fuel, Power:
I. Electricity: Power Required For Electrochemical
Processes, Motors, Lightings, And General Use.
II. Steam For Process Heating: The Steams
Required For The Process Are Generated In The
Tube Boilers Using Most Economic Fuel.
III. Water For General Use: The Water Required
For The General Purpose Will Be Taken From
Local Water Supplies.
7. Suitability of Climate and Land :

I. Adverse climatic conditions at site will increase costs.

Abnormally low temperatures will require the provision of
additional insulation and special heating for equipment
and piping.

II. Sufficient suitable land must be available for the

proposed plant and future expansion. The land should be
ideally flat, well drained and have load-bearing
characteristics. A full site evaluation should be made to
determine the need for piling or other foundations.
8. Availability of vendors and
sub contractors:
Industries like automobiles, home appliances have a
large variety of parts supplied by vendors and
subcontractors. A site for such an industry will be
more favorable where the venders of relevant
supplies already exist or can be developed easily.
9. Availability of labor :
Labor is an important factor in the production of goods.

A sufficiency of labor supply at reasonable wages is very

essential for smooth and successful working of the
industries.

Now a days the influence of skilled labor on plant has lost

because of mobility.
10. Community Facilities:

The proposed plant must fit in with and be

acceptable to the local community. Full
consideration must be given to the safe
location of the plant. So that it does not impose
A significant additional risk to the community.
11. Land cost and type of
land:
The environmental and structural geology
factors count towards the sustainability of
land or otherwise for a plant.
Lands in flood zone are avoided.
A hilly rocky and ruff terrain is unsuitable for
plant location.
12. DISPOSAL OF
WASTE:
The problem of the disposal of waste is
common to many industries, particularly
chemical, sugar, steel and leather
industries. The site selected for location
of the plant should have provision for
the disposal of waste.
13. Airport facilities
14. Seaport facilities
15. Railway facilities
16. High ways and road facilities
17. Cultural influence
COMPARATIVE STUDY OF
SITES:
A PRELIMINARY STUDY IS CARRIED OUT TO
IDENTIFY THE FEASIBLE SITES. EACH FACTOR IS
ASSIGNED A CERTAIN WEIGHTAGE FACTOR
BETWEEN 1 AND 5.
NEXT STEP IS RATE EACH SITE FOR EACH
FACTOR. RATING VARIES BETWEEN 1 AND 10
FROM POOR TO MOST FAVORABLE. THEN WE
FIND THE PRODUCT OF RATING AND
WEIGHTAGE FOR EACH FACTOR. AND THEN
SUM UP, THE SITE WITH HIGHEST SCORE IS
CONSIDERED MOST FAVORABLE.